Goldman Sachs Casts Doubt On 'Exceptionally Expensive' AI Investments By Tech Companies

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The report underscores the high costs associated with AI technology, including data centers, power grids, and AI chips, and questions whether these costs can be justified by the returns.“AI technology is exceptionally expensive, and to justify those costs, the technology must be able to solve complex problems, which it isn’t designed to do,” Jim Covello, the head of global equity research at Goldman Sachs, said in the report.

A report from Goldman Sachs has raised doubts about the potential return on investments in artificial intelligence (AI) by tech companies.

However, Goldman Sachs’ report expresses apprehension about the returns on this colossal investment.

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Article Details

Author / Journalist: Bibhu Pattnaik

Category: Technology

Markets: United States

Topics: Top Stories AAPL Tech US0378331005 Investment Artificial ingelligence Goldman Sachs News Ai geerated META Benzinga

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2024-06-30 @ 17:14:54 (2 days ago)

News Timezone: GMT +8:00

News Source URL: benzinga.com

Language: English

Article Length: 469 words

Reading Time: 3 minutes read

Sentences: 20 lines

Sentence Length: 24 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Benzinga

News ID: 21428647

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